The Winona, Minn.-based industrial distributor sells construction supplies in addition to services like inventory management, manufacturing and tool repair. Fastenal has several local retail locations.

The single-tenant flex building contains 2,100 square feet of showroom space. The warehouse sold at auction in February to Matthew Wilson.

The Memphis-based company is a property management affiliate of New York-based private investment firm Somerset Partners, which owns four local properties that range in size from 150 units to 450 units.

“We did a thorough review of the market, but they’re a young company and really just liked the vibe and the vibrancy and all that Downtown has to offer,” Conrad said. “This space became available and was a hand and glove kind of fit.”

Somerset’s new Downtown space will house six employees by November, in addition to executives that will be brought in from outside of the area for training.

Drinkard said it’s refreshing to see companies select Downtown for their office locales.

“This is a good example of a company that could be anywhere in town, but chose to be Downtown because they want to,” Drinkard said. “They wanted to be in an energetic environment to attract talented employees, as well as retain their current employee base.”

• In addition, Gregory Realty GP, an investment group of Germantown, purchased South Pointe Business Park at 4200 Lamar Ave., and 3615 S. Goodlett St. and 3623 E. Goodlett for $313,500. The three Class B flex warehouses were built in the 1980s and total 40,000 square feet.